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Appendix 7A—PERIODIC
Accounting Information Systems
QUICK STUDIES
Quick Study 7-12A (20 minutes)
PURCHASES JOURNAL
Date
Account
Date
of
Invoice
Terms
PR
Accounts
Payable
Cr.
Purchases
Dr.
Office
Supplies
Dr.
Other
Accounts
Dr.
May 1
Krause, Inc. ........................
5/01
n/30
10,100
10,100
14
Store Supplies/
Chang Co. ......................
5/14
n/30
240
240
17
Monder
Company ...........................
5/17
n/30
260
260
EXERCISES
Exercise 7-12A (15 minutes)
SALES JOURNAL
Date
Account Debited
Invoice
Number
PR
Accounts Receivable Dr.
Sales Cr.
May 7
J. Dryer ................................
5704
1,250
12
R. Lamb ................................
5705
340
25
T. Taylor ................................
5706
750
Exercise 7-13A (25 minutes)
CASH RECEIPTS JOURNAL
Date
Account
Credited
Explanation
PR
Cash
Dr.
Sales
Discount
Dr.
Accts.
Rec.
Cr.
Sales
Cr.
Other
Accounts
Cr.
Nov. 9
Notes Payable................
Note to bank
3,750
3,750
13
J. Ali, Capital .......
Contribution
5,000
5,000
18
Sales ................................
Cash sale
330
330
27
J. Than ..............................
Invoice, 11/7
980
20
1,000
Exercise 7-14A (25 minutes)
CASH DISBURSEMENTS JOURNAL
Date
Ck.
No.
Payee
Account
Debited
PR
Cash
Cr.
Purchases
Discounts
Cr.
Other
Accounts
Dr.
Accounts
Payable
Dr.
Apr. 9
210
Kitt Corp. ................................
Store Supplies ................................
650
650
17
211
City Bank ................................
Notes Payable ................................
1,400
1,400
28
212
Lite ................................
Lite ................................
4,410
90
4,500
29
213
B. Dock ................................
Salaries Expense ................................
1,800
1,800
30
214
Seth Inc. ................................
Seth, Inc. ................................
2,950
2,950
PROBLEM SET A
Problem 7-4AA (70 minutes)
Parts 1 and 2
SALES JOURNAL
Page 3
Date
Account Debited
Invoice
Number
PR
Accounts Receivable Dr.
Sales Cr.
Apr. 3
Page Alistair ................................
760
✓
4,000
5
Paula Kohr ................................
761
✓
8,000
11
Nic Nelson ................................
762
✓
10,500
13
Page Alistair ................................
763
✓
5,100
27
Paula Kohr ................................
764
✓
3,170
27
Nic Nelson ................................
765
✓
6,700
30
Total ................................
37,470
(106/413)
CASH RECEIPTS JOURNAL
Page 3
Date
Account
Credited
Explanation
PR
Cash
Dr.
Sales
Discounts
Dr.
Accounts
Receivable
Cr.
Sales
Cr.
Other
Accounts
Cr.
Apr. 13
Page Alistair ................................
Sale of 4/3
✓
3,920
80
4,000
14
Paula Kohr ................................
Sale of 4/5
✓
7,840
160
8,000
16
Sales ................................
Cash Sales
✓
52,840
52,840
18
L.T. Notes
Payable ................................
Note to
bank
251
60,000
60,000
20
Nic Nelson ................................
Sale of
4/11
✓
10,290
210
10,500
23
Page Alistair ................................
Sale of
4/13
✓
4,998
102
5,100
30
Sales ................................
Cash sales
✓
73,975
___
_____
73,975
_____
30
Totals ............
213,863
552
27,600
126,815
60,000
(101)
(415)
(106)
(413)
(✓)
Problem 7- 4AA (Continued)
Parts 2 and 3
GENERAL LEDGER
Cash
Acct. No. 101
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
85,000
Apr. 30
R3
213,863
298,863
Accounts Receivable
Acct. No. 106
Date
Explanation
PR
Debit
Credit
Balance
Apr. 30
S3
37,470
37,470
30
R3
27,600
9,870
Inventory
Acct. No. 119
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
125,000
Long-Term Notes Payable
Acct. No. 251
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
110,000
Apr. 18
R3
60,000
170,000
B. Wiset, Capital
Acct. No. 301
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
100,000
Sales
Acct. No. 413
Date
Explanation
PR
Debit
Credit
Balance
Apr. 30
S3
37,470
37,470
30
R3
126,815
164,285
Sales Discounts
Acct. No. 415
Date
Explanation
PR
Debit
Credit
Balance
Apr. 30
R3
552
552
Problem 7- 4AA (Continued)
Parts 2 and 3—continued
ACCOUNTS RECEIVABLE LEDGER
Page Alistair
Date
Explanation
PR
Debit
Credit
Balance
Apr. 3
S3
4,000
4,000
13
R3
4,000
0
13
S3
5,100
5,100
23
R3
5,100
0
Paula Kohr
Date
Explanation
PR
Debit
Credit
Balance
Apr. 5
S3
8,000
8,000
14
R3
8,000
0
27
S3
3,170
3,170
Nic Nelson
Date
Explanation
PR
Debit
Credit
Balance
Apr. 11
S3
10,500
10,500
20
R3
10,500
0
27
S3
6,700
6,700
Part 4
WISET COMPANY
Trial Balance
April 30
Debit
Credit
Cash .......................................................................
$298,863
Accounts receivable .............................................
9,870
Inventory ................................................................
125,000
Long-term notes payable .....................................
$170,000
B. Wiset, Capital ....................................................
100,000
Sales .......................................................................
164,285
Sales discounts.....................................................
552
_______
Totals .....................................................................
$434,285
$434,285
Problem 7- 4AA (Concluded)
Part 4—continued
WISET COMPANY
Schedule of Accounts Receivable
April 30
Paula Kohr ..................................................
$3,170
Nic Nelson ..................................................
6,700
Total accounts receivable .........................
$9,870
Part 5
Analysis component
To find the error(s), first re-add the account balances on the schedule of
accounts receivable to confirm that the addition is correct. Then, trace the
balances listed on the schedule of accounts receivable back to the
should disclose the error.
Problem 7-5AA (80 minutes)
Parts 1 and 3
PURCHASES JOURNAL
Page 3
Date
Account
Date of
Invoice
Terms
PR
Accounts
Payable
Cr.
Purchases
Dr.
Office
Supplies
Dr.
Other
Accounts
Dr.
Apr. 2
Noth Company ................................
4/2
2/10, n/60
✓
14,300
14,300
3
Office Supplies/Custer Inc. ........................
4/2
n/10, EOM
✓
1,480
1,480
9
Store Equip./Hal’s Supply ..........................
4/9
n/10, EOM
165/✓
12,125
12,125
17
Grant Company................................
4/17
2/10, n/30
✓
13,750
13,750
20
Store Supplies/Hal’s Supply ......................
4/19
n/10, EOM
125/✓
830
830
25
Noth Company ................................
4/24
2/10, n/60
✓
11,375
11,375
____
_____
30
Totals .................................................
53,860
39,425
1,480
12,955
(201)
(505)
(124)
(✓)
CASH DISBURSEMENTS JOURNAL
Page 3
Date
Ck.
No.
Payee
Account Debited
PR
Cash
Cr.
Purchases
Discount
Cr.
Other
Accounts
Dr.
Accounts
Payable
Dr.
Apr. 4
587
World View ................................
Advertising Expense ................................
655
899
899
12
588
Noth Company ................................
Noth Company ................................
✓
14,014
286
14,300
16
589
Payroll ................................
Sales Salaries Expense ................................
621
10,750
10,750
26
590
Grant Company ................................
Grant Company................................
✓
12,740
260
13,000
30
591
Payroll ................................
Sales Salaries Expense ................................
621
10,750
___
10,750
_____
30
Totals ................................
49,153
546
22,399
27,300
(101)
(507)
(✓)
(201)
Problem 7-5AA (Continued)
Parts 1 and 3—continued
GENERAL JOURNAL Page 3
Apr. 6
Accounts Payable—Custer, Inc ................................
201/✓
80
Office Supplies ..................................................
124
80
Received a credit memorandum.
23
Accounts Payable—Grant Co. ..............................
201/✓
750
Purchase Returns and Allowances ...................
506
750
Received a credit memorandum.
Parts 2 and 3
GENERAL LEDGER
Cash
Acct. No. 101
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
85,000
Apr. 30
D3
49,153
35,847
Inventory
Acct. No. 119
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
125,000
Office Supplies
Acct. No. 124
Date
Explanation
PR
Debit
Credit
Balance
Apr. 3
P3
1,480
1,480
6
G3
80
1,400
Store Supplies
Acct. No. 125
Date
Explanation
PR
Debit
Credit
Balance
Apr. 20
P3
830
830
Store Equipment
Acct. No. 165
Date
Explanation
PR
Debit
Credit
Balance
Apr. 9
P3
12,125
12,125
Problem 7-5AA (Continued)
General Ledger—continued
Accounts Payable
Acct. No. 201
Date
Explanation
PR
Debit
Credit
Balance
Apr. 6
G3
80
(80)
23
G3
750
(830)
30
P3
53,860
53,030
30
D3
27,300
25,730
Long-Term Notes Payable
Acct. No. 251
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
110,000
B. Wiset, Capital
Acct. No. 301
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
100,000
Problem 7-5AA (Continued)
Parts 2 and 3—continued
ACCOUNTS PAYABLE LEDGER
Custer, Inc.
Date
Explanation
PR
Debit
Credit
Balance
Apr. 3
P3
1,480
1,480
6
G3
80
1,400
Grant Company
Date
Explanation
PR
Debit
Credit
Balance
Apr. 17
P3
13,750
13,750
23
G3
750
13,000
26
D3
13,000
0
Hal’s Supply
Date
Explanation
PR
Debit
Credit
Balance
Apr. 9
P3
12,125
12,125
20
P3
830
12,955
Noth Company
Date
Explanation
PR
Debit
Credit
Balance
Apr. 2
P3
14,300
14,300
12
D3
14,300
0
25
P3
11,375
11,375
Problem 7-5AA (Concluded)
Part 4
WISET COMPANY
Trial Balance
April 30
Debit
Credit
Cash ................................................................
$ 35,847
Inventory ........................................................
125,000
Office supplies...............................................
1,400
Store supplies................................................
830
Store equipment ............................................
12,125
Accounts payable..........................................
$ 25,730
Long-term notes payable .............................
110,000
B. Wiset, Capital ............................................
100,000
Purchases ......................................................
39,425
Purchases returns and allowances .............
750
Purchases discounts ................................
546
Sales salaries expense ................................
21,500
Advertising expense .....................................
899
_______
Totals ..............................................................
$237,026
$237,026
WISET COMPANY
Schedule of Accounts Payable
April 30
Custer, Inc. ...................................................
$ 1,400
Hal’s Supply .................................................
12,955
Noth Company ............................................
11,375
Total accounts payable ..............................
$25,730
Problem 7-6AA (100 minutes)
Parts 1 and 2
SALES JOURNAL
Page 2
Date
Account Debited
Invoice
Number
PR
Accounts Receivable Dr.
Sales Cr.
Mar. 2
Min Cho ......................................................
854
✓
16,800
3
Linda Witt ...................................................
855
✓
10,200
10
Jovita Albany ................................
856
✓
5,600
27
Jovita Albany ................................
857
✓
14,910
28
Linda Witt ...................................................
858
✓
4,315
31
Totals ..........................................................
51,825
(106/413)
Problem 7-6AA (Continued)
Parts 1 and 2—continued
PURCHASES JOURNAL
Page 2
Date
Account
Date of
Invoice
Terms
PR
Accounts
Payable
Cr.
Purchases
Dr.
Office
Supplies
Dr.
Other
Accounts
Dr.
Mar. 1
Van Industries ................................
3/1
2/15, n/30
✓
43,600
43,600
3
Gabel Company ................................
3/3
n/10, EOM
✓
1,230
1,230
9
Office Equip./Spell Supply .........................
3/9
n/10, EOM
163/✓
21,850
21,850
14
The CD Company ................................
3/13
2/10, n/30
✓
32,625
32,625
16
Store Supplies/Gabel Company ..................
3/16
n/10, EOM
125/✓
1,770
_____
____
1,770
31
Totals .............................................................
101,075
76,225
1,230
23,620
(201)
(505)
(124)
(✓)
duplicated, forwarded, distributed, or posted on a website, in whole or part.
Fundamental Accounting Principles, 21st Edition
510
Problem 7-6AA (Continued)
Parts 1 and 2—continued
CASH RECEIPTS JOURNAL
Page 2
Date
Account
Credited
Explanation
PR
Cash
Dr.
Sales
Discount
Dr.
Accounts
Receivable
Cr.
Sales
Cr.
Other
Accounts
Cr.
Mar. 6
L.T. Notes Pay. ................................
Note to bank................................
251
82,000
82,000
12
Min Cho ................................
Invoice, 3/2 ................................
✓
16,464
336
16,800
13
Linda Witt ................................
Invoice 3/3 ................................
✓
9,996
204
10,200
15
Sales ................................
Cash sales ................................
✓
34,680
34,680
20
Jovita Albany ................................
Invoice, 3/10 ................................
✓
5,488
112
5,600
31
Sales ................................
Cash sales ................................
✓
30,180
___
_____
30,180
_____
31
Totals ................................
178,808
652
32,600
64,860
82,000
(101)
(415)
(106)
(413)
(✓)
CASH DISBURSEMENTS JOURNAL
Page 2
Date
Ck.
No.
Payee
Account Debited
PR
Cash
Cr.
Purchases
Discounts
Cr.
Other
Accounts
Dr.
Accounts
Payable
Dr.
Mar.13
416
Van Industries ................................
Van Industries ................................
✓
42,728
872
43,600
15
417
Payroll ................................
Sales Salaries Expense ................................
621
18,300
18,300
23
418
The CD Co. ................................
The CD Company ................................
✓
29,596
604
30,200
31
419
Payroll ................................
Sales Salaries Expense ................................
621
18,300
____
18,300
_____
31
Totals ................................
108,924
1,476
36,600
73,800
(101)
(507)
(✓)
(201)
Problem 7-6AA (Continued)
GENERAL JOURNAL
Page 2
Mar. 17
Accounts Payable—CD Co. ................................
201/✓
2,425
Purchases Returns and Allowances ....................
506
2,425
Received a credit memo for returns.
19
Accounts Payable—Spell Supply .............................
201/✓
630
Office Equipment ....................................................
163
630
Received a credit memo for returns.
GENERAL LEDGER
Cash
Acct. No. 101
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
R2
178,808
178,808
31
D2
108,924
69,884
Accounts Receivable
Acct. No. 106
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
S2
51,825
51,825
31
R2
32,600
19,225
Inventory
Acct. No. 119
Date
Explanation
PR
Debit
Credit
Balance
Mar. 1
10,000
Office Supplies
Acct. No. 124
Date
Explanation
PR
Debit
Credit
Balance
Mar. 31
P2
1,230
1,230
Store Supplies
Acct. No. 125
Date
Explanation
PR
Debit
Credit
Balance
Mar. 16
P2
1,770
1,770
Office Equipment
Acct. No. 163
Date
Explanation
PR
Debit
Credit
Balance
Mar. 9
P2
21,850
21,850
19
G2
630
21,220
